The dollar is going down in value right now. Thats the plan. It makes foreign goods more expensive and exports more affordable to other countries. Meanwhile it should have less inflationary pressure on domestically produced stuff like housing.
I dont know if this is going to work or collapse. If it does work IMO they still need to reduce the debt - current actions are because we are backed into a corner, so that needs to be corrected.
> Meanwhile it should have less inflationary pressure on domestically produced stuff like housing.
This is pure fantasy. A weak dollar makes it more affordable for foreign capital to buy US assets, yes, including housing. The president himself recently admitted on video that he plans to make house prices rise.
The "Mar a Lago Accord" plan [1], for those curious. The US debt is one major rationale behind the strategy.
It's a dangerous plan that relies on keeping allies happy and re-establishing hegemony via a Plaza Accords / Bretton Woods 2.0 type system.
It's not going to work if you simultaneously piss all of the allies off.
[1] https://www.youtube.com/watch?v=1ts5wJ6OfzA by Money & Macro, which is a fantastic economics YouTube channel. Patrick Boyle has also spoken about this in pieces.
Eh, it's not a plan, it's make believe.
It's a flimsy back-filled rationale thrown on top the mercurial (and often sadistic) whims of an American Caligula, so the elite enablers can pretend there's something rational - or even good - about the chaos and destruction they are supporting.
There isn't. It's just chaos and destruction.
There is no plan. There is just chaos.